Report
Patrick Artus

France: How can the tax burden be reduced?

A significant share of the French population complains about the excessively high level of the tax burden. But what can be done to reduce this tax burden? A c omparison of public spending by type between France and the other euro-zone countries can be of help. It shows that France differs from the other euro-zone countries primarily as regards: Public spending on pensions; Public spending on economic measures (mainly support for companies); The efficiency of the public sector (the productivity of public sector employment is 13% lower in France than in the other euro-zone countries). A reduction in the tax burden in France would therefore require: An increase in the retirement age (continuously lowering the level of pensions is ineffective and dangerous); A reduction in support for companies, a normal counterparty of a reduction in the corporate tax burden; An increase in labour productivity in the public sector.
Provider
Natixis
Natixis

Based across the world’s leading financial centers, Natixis CIB Research offers an integrated view of the markets. The team provides support to inform Natixis clients’ investment and hedging decisions across all asset classes.

 

Analysts
Patrick Artus

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